EBITDA
Earnings Before Interest, Taxes, Depreciation and Amortisation — a measure of operating profitability.
EBITDA strips out financing and accounting effects to show core operating performance, useful for comparing companies. Early startups are usually EBITDA-negative as they invest in growth, but the metric matters more as they scale.
Examples
A maturing startup turns EBITDA-positive. — Investors use EBITDA multiples for later-stage valuation.
How it relates to The Startup Foundry
Understanding profitability metrics is part of the financial literacy the Foundry builds in founders.